What a month for Satyam. The board fiasco. The negative World Bank publicity. Board members resigning in droves. And now Brian Sommer reports the "sharks are circling"
"Satyam will likely not last long as an independent firm. Pressure is probably being mounted now to shop the firm and get a quick deal...If a deal can happen fast (i.e., in the next 6-8 weeks), the company may not experience material losses of personnel. But, the longer this drama plays out, the worse this will get and the lower a premium a potential suitor will pay."
I find it ironic that HP is being mentioned as a suitor. In an earlier regime HP almost bought PwC, then decided against it. IBM picked it up the rebound for a fraction of the valuation HP had agreed to.
There have been persistent rumors of IBM interest in Satyam. If HP does buy Satyam, it will be at a song compared to the price IBM would have paid for Satyam a year or two ago.
